A Gift that Pays You Income

If you want to increase your retirement income, obtain a higher return on your money or save on taxes, there is an option for giving that helps you achieve these goals.

Vanderbilt University Medical Center has a program that pays you annual income at a 5 percent rate. When you make this type of gift, the Medical Center invests the money in a diversified stock and bond portfolio. Then, you immediately begin to receive quarterly payments for life. Later, the gift will be used for a purpose that is important to you.

Donors and charities have benefited from this gift plan for about 50 years. It's a smart, time-tested and IRS-approved way to give!

How does it work?

If you are considering a gift of $250,000 or more, you can receive annual income paid to you for life. We will set up this type of gift for you, and you can support a purpose at the Medical Center that is important in your life while receiving income.

The Medical Center uses a trust to hold and administer your gift and invests your money in a diversified portfolio of stocks and bonds. You are not charged any commissions or fees and will earn at least 5 percent on the amount in your trust for each year you are living. Any leftover amount when the trust ends will support the program of your choice at Vanderbilt University Medical Center.

Charitable Remainder Unitrust

Examples:

  1. Steve, age 76,  and Linda, 74, want to see progress in the research efforts to fight cancer. They decided on a gift to Vanderbilt University Medical Center that pays them income. They donate $100,000 and in exchange will receive 5 percent annual income for their lives, joint and survivor. They claim a charitable income tax deduction of about $49,300, which lowers their tax bill by $13,804. In the first year, they earn $5,000 on their $100,000 gift. The Medical Center keeps their account invested in a diversified mix of stocks and bonds. Steve and Linda’s annual income is always 5 percent of the balance in their gift account. So, if the account value rises in later years, their annual income goes higher as well.
     
  2. Andy’s mother received excellent care from the nurses and doctors at the Medical Center, and Andy decides that Vanderbilt University Medical Center would be a good place to support with a charitable gift. Andy tells the team at the Medical Center that he’s age 75 and has $250,000 to donate. In the first year, his gift allows him to claim a charitable deduction of $151,000.  That saves him about $56,000 in income taxes. The Medical Center immediately begins to make quarterly payments — direct deposit — into his bank account.

 

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Contact Us to Learn More

It is important to us that you are satisfied with your philanthropic giving at Vanderbilt University Medical Center.
Since personal circumstances can vary, always consult your independent advisers before making your gift to the Medical Center.

 For questions or more information about making a gift in one of these ways, please contact us directly.

Timothy A. Kalenbach
Phone: 615-343-3119
Email: tim.kaltenbach@vumc.org
Adam Watts
Phone: 615-875-5037
Email: adam.watts@vumc.org


Vanderbilt University Medical Center Development
3322 West End Avenue, Suite 900
Nashville, TN 37203